Inp.polri.go.id - Jakarta. Coordinating Minister for Economic Affairs Airlangga Hartarto has ensured that there will be no increase in electricity tariffs and fuel prices until June 2024, on Monday (26/2/2024). "In the cabinet meeting, it was decided that there will be no increase in electricity tariffs or fuel prices until June 2024, including subsidies," he stated. This decision widens the fiscal deficit target in the 2024 state budget, currently at 2.29 percent of GDP, as subsidies aimed at controlling electricity and fuel price hikes necessitate a larger budget allocation for both PT Pertamina and PT PLN. Further elaborating, he explained that additional budgets for PT Pertamina and PT PLN would be sourced from either the remaining budget balance or the widening of the 2024 budget deficit, ranging between 2.3-2.8 percent. The state budget deficit expands due to a Rp14 trillion rise in fertilizer subsidy, essential for sustaining rice production amidst El Nino. Furthermore, the Rp11 trillion allocation for the BLT Food Risk Mitigation program also contributes to the 2024 deficit. "Typically, subsidized fertilizer amounts to 8-7 million tons. However, with the current Rp26 trillion budget, only 5.7 million tons are covered. This impacts rice production, affected by both fertilizer availability and El Nino, resulting in a significant decrease," he concluded. (ar/ndt/pr/nm)